Why should you buy a Contractor Life Insurance policy?

Contractors UK are often involved in projects where they work for many different companies. As a result, it is important for your company to protect your contractor. Contractor Life Insurance policies are designed to provide cover for death in service and accidental death. This means that if your contractor dies while he/she is working for you, then their dependants will receive funds from the death benefit.

As part of this policy, a discretionary trust will be set up which pays out the funds to the dependants of the policyholder. As such, these policies work very similar to Keyman-type policies, which offer death in service benefits.

When you look for a Contractor Life Insurance quote, the premiums are paid for by the contractor’s company rather than the employee. Therefore, as a legitimate business expense, this will save tax for you as the contractor. In addition, a Contractor Life Insurance policy is also a very popular type of insurance for contractors UK.

What is Relevant Life Insurance?

Relevant Life Insurance (RLP) is a type of life insurance that is required by employers when their employees are likely to die from their job. It provides death in service benefits, which can be paid via a discretionary trust and can be claimed by the dependants of the policyholder.

When you look for a Relevant Life insurance quote, the premiums are paid for by the contractor’s company rather than the employee. Therefore, as a legitimate business expense, this will save tax for you as the contractor. In addition, a Contractor Life Insurance policy is also a very popular type of insurance for contractors UK.

Why should I get Relevant Life Insurance?

You should consider getting Relevant Life Insurance if you are worried about losing money because your employee has died or is terminally ill. This type of cover would help protect your personal finances if something like this happens.